The following balances were taken from the records of Pharoah Company: Common stock (1/1/20 and 12/31/20) $720,900 Retained earnings 1/1/20 $164,500 Net income for 2023 183,800 Dividends declared in 2023 (40,300) Retained earnings, 12/31/20 308,000 Total stockholders' equity on 12/31/20 $1,028,900 Wildhorse Company purchased 75% of Pharoah Company's common stock on January 1, 2021 for $905,100. The difference between implied value and book value is attributable to assets with a remaining useful life on January 1, 2023 of ten years. (a) Compute the difference between cost/(implied) and book value applying: 1. Parent company theory. 2. Economic unit theory. 1. Parent company theory $ LA 2. Economic unit theory $ Difference